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<br />therefor as may be approved by the local <br />regulatory authorities. <br /> <br />SENATOR O'MAHONEY. When you speak of <br />preference customers; what do you mean? <br /> <br />MR. MOFFAT. I mean the preference customers <br />as presently interpreted under reclamation <br />law. <br /> <br />SENATOR ANDERSON. In the Flood Contract Act <br />it provides for utilities and various <br />organizations of that nature owned publicly <br />of a preference. <br /> <br />SENATOR O'MAHONEY. I am trying to determine <br />whether or not the witness recognizes the law. <br /> <br />MR. MOFFAT. We certainly do. That is part <br /> <br />of the Federal law as we understand it. <br /> <br />SENATOR O'MAHONEY. You have no contention of <br />any interpretation different from that which <br />has been given heretofore? That there is a <br />real preference, the States and <br />municipalities and the like? <br /> <br />MR. MOFFAT. That is part of the law at the <br />present time. <br /> <br />13 <br />